Many processes developed for the mechanical processing of Automotive Shredder Residue (ASR) suffer from high processing costs. We offer a distinct concept for low-cost mechanical processing still allowing high value-added recycling of the recovered materials. The basic idea behind this approach is to produce saleable pre-concentrates at the lowest possible costs that can be further processed in existing separation facilities. Our process includes screening, size reduction and magnetic separation. Preliminary studies showed that fibers in ASR are magnetic due to adhering rust particles allowing separation into a fiber fraction and a non-magnetic rigid fraction by high-intensity magnetic separation. The fiber fraction is most suited for thermal processing. The rigid fraction mainly consists of plastics and rubbers with up to 10 wt.-% of non-ferrous metals, some inert material and copper wires. This fraction is verF well suited for mechanical processing by, e.g., sink-float separation in existing metal separation plants. The non-metal fraction can be processed further to recover the plastics and rubbers. The process proposed in this study is expected to be substantially cheaper than full thermal processing. In addition, as it mainly relies on existing separation facilities, it can be applied in the short term.